NAC seeks waiver of loan interest, damages and penal exemption

Kathmandu / April 20: Nepal Airlines Corporation (NAC), which is facing a financial crisis, has requested the Employees Provident Fund (EPF) and Citizen Investment Trust (CIT) to waive interest, damages and penalties.

As the business has been adversely affected due to the COVID-19 pandemic, the corporation has requested help by waiver of the interest, damages and penalty for that period. NAC, which has paid Rs 2.9428 billion in terms of loans since mid-June last year, has also requested the Employees Provident Fund and the Citizens Investment Trust to increase the number of installments and facilitate the loan payment.

In a statement issued by NAC Spokesperson Ramesh Paudel today, it is mentioned that the corporation’s request is being discussed with the EPF and CIT.

The corporation has also mentioned that the corporation’s business expansion and cash flow have gradually improved after the current leadership took over the management. That is why two narrow body and two wide body ships were purchased on loan for international flights. Regarding the installment of the loan, Rs 530.955 million was paid to the EPF and CIT on March 13.

It is mentioned in the statement issued by NAC that previously a total of Rs 2.94 billion was paid by paying Rs 1.35 billion in a month (mid-June to mid-July), Rs 730.9 million (mid September-mid October), Rs 330.0 million (mid-December to mid-January) and Rs 530.95 million (mid-March to mid-April).